Monday, November 02, 2009

(Bloomberg) -- CIT Group Inc., a 101-year-old commercial lender, filed for bankruptcy to cut $10 billion in debt after the credit crunch dried up its funding and a U.S. bailout and debt exchange offer failed. CIT listed $71 billion in assets and $64.9 billion in debt in a Chapter 11 filing in U.S. Bankruptcy Court in Manhattan. The U.S. Treasury Department said the government probably won’t recover much, if any, of the $2.3 billion in taxpayer money that went to CIT...CIT, which reported $3 billion of losses in the past eight quarters, received $2.3 billion from the U.S. Treasury on Dec. 31 when it purchased preferred stock and warrants...Cont'd...LINK